My 99-second financial update!
As you know, I am using my most untapped financial asset…my expenses…to optimize those expenses to travel the world. I call this “credit card arbitrage,” but in reality, I am just working the angles available to anyone willing to game…er…understand the system.
I’m about halfway through 2024. To this point, I have used my Chase credit cards to transfer points and eliminate my hotel expenses at Hyatt. Of course, those credit card points can be used with about 15 airlines and hotels, not just for me but for family and friends as well. Or, they can be saved. I don’t want to save these points. I want to spend them while I optimize my life experiences for personal enjoyment. Of course, this is all part of my “Die with Zero” overarching financial/personal plan (discussed here previously!).
With 44 hotel nights (actually used and reserved), I have eliminated $10,775 in hotel expenses. Those 44 nights at a Hyatt (with many suite upgrades) were/will be free. I expect to earn another $18,589 for the rest of the year. That’s $29,364 in AFTER-tax dollars. If I were to spend that much money on airfare and hotels for my family and me, I would have to withdraw $38,466 in BEFORE-tax dollars from my IRA. Remember, this comes from my charging my existing expenses to a credit card. I am not spending a penny on anything extra to generate these returns. I am using my most untapped financial asset…my expenses…to travel the world.
Oh yeah, I am also using my credit card’s “0% APR” promotion. I charge stuff and then I only pay the credit card’s minimum payment. My credit card, Chase Freedom Unlimited, doesn’t charge me any interest. Currently, my balance is $68,000. The minimum monthly payment on that balance is $680. While all of this happens, I am investing that $68,000 in a Vanguard money market fund that has been paying 5.83%. This part of the program will generate another $3,399 in before-tax interest income for the year.
Folks, that’s more than 40 grand! Is that a big enough number to motivate you to take action? It took me 99 seconds to read this…but I am a slow reader but a fast points earner.
Randy Lewis
Optimizing as much as I can for personal enjoyment
P.S. Yes, those are Qatar Airlines Qsuite pajamas